They're most often sold to people, and people then wind up in debt and have to pay back the debt, and sometimes have to sell their property in order to pay back the debt.

Budget deficits automatically increase government debt, requiring higher future taxes to pay the interest on that debt.

Debtor countries pay substantial risk premiums for financing their government debt.

The higher debt service they must pay serves to some degree as a form of discipline against the temptation to spend now and pay later.

To pay for this, he had to float loans in France, putting Haiti into a state of debt.

The debt burden adjustment should be retained as an element of the scale methodology because external debt had a substantial impact on Member States' capacity to pay.

That would have been sufficient to pay back the entire Italian national debt over about a decade and a half.

In November 1699, William finally recommended that Parliament pay the mortgage debt to George, and in early 1700, the debt was honoured.

To pay back the debt without strain, we need a booming economy. Talk of government spending cuts is premature.

If heavily indebted countries have to pay heavy risk premiums, their debt becomes unsustainable.

The debt burden adjustment was an integral part of the scale methodology, for external debt not only affected a country's capacity to pay but also placed a significant burden on its economy.

A sovereign default () is the failure or refusal of the government of a sovereign state to pay back its debt in full.

Either way, Germany s internal debate about whether to pay for the Greek debt is risible.

That incentive increases if it can command the resources of a more democratically governed state, where citizens agree to pay taxes (and pay off future debt) because they also control the government.

Debt not only caused an outflow of capital to pay the principal and interest on external debt, but also hindered efforts to attract foreign direct investment and promote economic activity, a fact not reflected in the debt flow approach.

Nonetheless, we continue to transfer capital to rich countries to pay interest on our foreign debt.

Further, debt sustainability is about a country's ability to pay in the context of becoming an active partner in global capital markets.

And he would not but went and cast him into prison, till he should pay the debt.

So the evidence does not really tell us whether a heavily indebted country should pay down its debt or borrow and invest more.

Under Obasanjo, Soludo initiated much needed banking reforms and argued strenuously that Nigeria should pay its foreign debt.

In fact, there is no simple relationship between the size of a government s deficit or debt and the interest rate that it must pay.

In issuing contingent capital, banks would have to pay a higher interest rate than they would on ordinary long term debt, because debt investors will face the true cost of capital, not the government subsidized cost.

In short, Latin American countries have used their additional export revenues to pay down debt and increase social spending.

Current oil revenues are barely enough to cover state expenses, let alone pay for reconstruction, debt, and war reparations.

Suppose my children have to pay off the debt to you that I incurred. They will be worse off.

If this premium prevails, Greece will have to pay 7.4 billion more in interest per year on its 271 billion debt than it would have to pay at the German rate.

Countries like the US and the UK, which are accumulating debt at a record pace, are betting that deficit spending will eventually pay off in a stronger economy.

Debtor countries pay substantial risk premiums to finance their debt, which is reflected in their high economy wide borrowing costs.

The budget cost increases every year, as more of the debt rolls over and that does not include agency debt and the large increase in the current account deficit to pay China, Japan, and other foreign holders of US debt.

This leaves open the question of which expenditures get priority and if expenditures to pay interest on the national debt do not, a default is inevitable.

Six months later, after substantial official funds had been used to pay private creditors, the outstanding private debt was substantially restructured.

But their governments seem to be taking advantage of the bonanza to pay off pending external debt and increase their foreign reserves.

Should a country violate the fiscal compact, it would wholly or partly forfeit its reward and be obliged to pay interest on the debt owned by the SPV.

By the end of the decade, the US will have to pay an amount equivalent to more than one third of the revenue from personal income taxes just to pay the interest on the national debt.

As a result, many states feared federal assumption would mean that their taxes would go to pay northern speculators or to retire the debt of big borrowers, like Massachusetts.

This obviously depends in part on the amount of debt outstanding, the interest rate, and the country s growth prospects if it continues to pay.

It is obvious that Greece cannot pay back all of its debt. But it should also be obvious that Japan will never be able to generate a primary fiscal surplus large enough to repay its government debt in the normal sense of the word repay.

Countries that are near the point where can t pay becomes won t pay have high interest rates relative to benchmark safe debt issued by other governments, because even small shocks can shift the balance for decision makers towards default.

And if they habitually decadalized GDP, multiplying the quarterly GDP numbers by 40 instead of four, Greece s debt burden would be 15 . From the standpoint of Greece s ability to pay, such units would be more relevant, since it doesn t have to pay off its debts fully in one year (unless the crisis makes it impossible to refinance current debt).

But cheap credit promotes bad investment and excessive debt, which borrowers often are unable to repay. More fundamentally, investment is a bet that cannot pay off if growth is structurally depressed.

A primary budget deficit (or surplus) is the difference between a government s outlays for everything excluding the interest payments that it must pay on its debt and its receipts from taxes and other charges.

Local governments could then privatize the massive assets that they have accumulated during years of rapid growth, using the proceeds to pay down their debt.

In spite of this, the Government remains unable to pay the backlog of civil service arrears from 2003, domestic debt or salaries for January 2005.

A decline in oil revenues could be devastating to the fledgling Iraqi government. Current oil revenues are barely enough to cover state expenses, let alone pay for reconstruction, debt, and war reparations.

But if a bunch of speculators decide (rightly or wrongly) that a government s debt is overpriced, they can force down its price, thereby forcing up its yield (the interest rate that the government must pay).